Hydro Aluminium Sells Interest in Wuxi Plant

Hydro Aluminium has sold its 70 percent ownership interest in the precision tubing plant in Wuxi, China, to the Chinese minority share holder.

The plant will be formally transferred, pending final approval from Chinese authorities, in mid-November.

The Wuxi plant, which has 240 employees, delivers components and systems to automotive supply companies in China.

"The new owner is well established in China as a supplier to the automotive industry," says board chairman Arne Skoland, Hydro, adding that the employees will be treated in accordance with Chinese regulations.

Skoland says that the Wuxi transaction will enable Hydro to concentrate fully on the ramp up of the 100 percent-owned plant in Suzhou. The Suzhou plant utilizes state-of-the-art precision tubing technology.

Hydro has been majority owner in the Wuxi joint venture since 2000.

http://www.hydro.com

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